Labor government to increase international student cap by 25,000 for 2026 academic year
The figure is 25,000 higher than the number allowed by Education Minister Jason Clare for the 2025 academic year, but is still 8 per cent lower than the influx of international students after borders opened post-pandemic.
It will also not account for students at TAFE or those who enrol in a public-funded university but previously attended an Australian high school.
Universities will be able to request an increase to their 2025 allocations, but they must be able to show an increased engagement with Southeast Asia - as part of Australia's Southeast Asia Economic Strategy to 2040 - and that they have enough student accommodation to cater to both domestic and international students.
The largest proportion of students from overseas were from China (23 per cent), India (17 per cent) and Nepal (8 per cent).
Mr Clare said international education - worth $51bn to the Australian economy in 2023-24 and employing more than 250,000 workers - was an 'incredibly important export industry', but needed to be sustainably managed.
'International education doesn't just make us money - it makes us friends,' he said.
'This is about making sure international education grows in a way that supports students, universities and the national interest.'
Home Affairs Minister Tony Burke said the government's priority was ensuring the international education sector maintained the 'integrity of the migration system'.
'We are making sure student visa processing supports genuine education outcomes and our strategic priorities – including increasing provision of student accommodation,' he said.
'This is about backing providers who do the right things and giving them the certainty they need to grow sustainably.'
Skills and Training Minister Andrew Giles also welcomed the exclusion of TAFE from the cap, saying it would allow the international VET sector to grow sustainably and better meet skills needs.
'The diverse nationalities of international VET students present an opportunity to strengthen our international partnerships,' he said.
'From today, VET providers can plan recruitment with confidence for 2026, knowing they will continue to enjoy equitable access to student visa processing.'
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